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Tag Archives: clearing

Clearinghouse concentration…

Finextra reports… ~~~”US House backs reforms to clearing house ownership rules … US lawmakers have approved a bill that will place a 20% limit on collective bank ownership of derivatives clearing houses, despite fierce opposition from financial industry participants. The US House voted 228-202 Thursday to incorporate the so-called Lynch Amendment into the forthcoming Wall […]

`Fundamental Questions’ on Derivatives Plan

Hal Scott, a Harvard Law School professor and director of the Committee on Capital Markets Regulation, talks with Bloomberg’s Margaret Brennan about Treasury Secretary Tim Geithner’s plan to overhaul the financial regulatory system. Geithner was on Capitol Hill today to discuss proposals to revamp the way derivatives are regulated. He said the U.S. should require […]

Change coming to CDS land

A mighty wind is being unleashed on Capitol Hill… and it’s a welcome wind… kudos to House Agriculture Chairman Collin Peterson of Minnesota for proposing substantial new law to regulate the CDS space… U.S. Draft Law Would Ban Most Credit-Default Swaps (Update1) Jan. 28 (Bloomberg) — A draft bill circulated in Congress that would change how over-the-counter derivatives […]

MOU…

Excellent progress today on the CDS front… From BBG:  ~~~~ “The Fed, Commodity Futures Trading Commission and Securities and Exchange Commission signed memorandum of understanding (MOU) today that they said will provide consistent oversight of the clearinghouses and the credit-default swap market. The group laid out guidelines they said would provide more public information on […]

Swaps rodeo…

~~~~WASHINGTON, D.C. – Following a hearing of the Senate Committee on Agriculture, Nutrition and Forestry on the role of credit default swaps and other off-exchange financial derivatives in the current financial crisis, Chairman Tom Harkin (D-IA) today called for strengthening regulation over these contracts.  Last month, Harkin joined Senators Carl Levin (D-MI) and Jeff Bingaman […]

Clearing competition…

Finally… go Nasdaq… from Finextra… ~~~~ “… Nasdaq completed the acquisition of the Boston Stock Exchange earlier this year and with this purchase obtained registered clearing agency – called the Boston Stock Exchange Clearing Corporation (BSECC) – which it plans to re-name The Nasdaq Clearing Corporation (NCC). In a notice on a message board on […]

Opacity crisis…

“The wise man bridges the gap by laying out the path by means of which he can get from where he is to where he wants to go.”  + + John Pierpont Morgan + + I’m giving a talk in Washington this week entitled… “U.S. Bond Market Basics & Recent Events“… timely… I’ve been developing […]

Trading and clearing…

Finally… real progress for the CDS space… from Finextra…  ~~~~ ” The Chicago Mercantile Exchange is teaming up with Citadel to launch a credit default swaps trading platform and central counterparty facility. News of the move comes as the Federal Reserve meets with industry leaders to push for new risk mitigation techniques in the over-the-counter […]